The Karnataka State Road Transport Corporation (KSRTC) has reported a significant financial loss attributed to the Shakti scheme, which provides free bus travel for women in Karnataka. In response, KSRTC is proposing a fare hike to mitigate these losses and ensure the sustainability of its operations. This blog delves into the financial implications of the Shakti scheme and the necessity of the proposed fare increase.
The Impact of the Shakti Scheme
The Shakti scheme, introduced by the Congress government last year, aims to empower women by offering free bus travel across Karnataka. While the scheme has been beneficial for women, it has also led to a substantial financial burden on KSRTC. In the last three months alone, the corporation has reported a loss of Rs 295 crore. This financial strain has necessitated a reconsideration of the current fare structure to maintain the viability of bus services.
Proposed Fare Hike
To address the financial shortfall, KSRTC Chairman SR Srinivas has proposed a bus fare increase of up to 20%. This proposal was discussed in a board meeting and will be presented to the chief minister for approval. Srinivas emphasized the critical need for this fare adjustment to sustain the department amidst rising inflation and operational costs. Without this increase, the survival of KSRTC is at risk.
Financial Strain on KSRTC
The financial difficulties faced by KSRTC are not limited to the losses from the Shakti scheme. The salaries of KSRTC staff have not been revised since 2020, adding to the financial pressure. Srinivas highlighted the essential nature of bus services, particularly in rural areas where the absence of a bus driver can disrupt daily life. The proposed fare hike is seen as a necessary step to ensure that KSRTC can continue to provide essential services to the public.
North Western Karnataka Road Transport Corporation’s Perspective
The North Western Karnataka Road Transport Corporation (NWKRTC) is also experiencing financial challenges due to the Shakti scheme. NWKRTC Chairman Raju Kage noted that the department has not increased bus fares in the last decade, despite the growing operational costs. Kage reiterated the need for a fare hike to address the ongoing losses and sustain the department’s operations.
Conclusion
The Shakti scheme, while beneficial for women, has placed a significant financial burden on KSRTC and NWKRTC. The proposed fare hike of 15-20% is a necessary measure to address these financial challenges and ensure the continued provision of essential bus services. As the proposal awaits approval from the chief minister, the future of Karnataka’s public transport system hangs in the balance.
